Why is speed to market critical to market demand?
A) It reduces overall cost of product development.
B) It allows more time for product recalls.
C) It allows the company to conduct more concept testing.
D) It produces stronger outcomes on the business analysis process.
E) It allows the company to become entrenched in the marketplace.
Which type of accountant uses audits to assist in the investigation of companies, and as
litigation support in crimes against companies?
A) Management accountants
B) Private accountants
C) Forensic accountants
D) Financial accountants
E) Controllers
What should competitors establish when collaborating on a project that might have
mutual gain?
A) Stock options
B) A new Board of Directors
C) A strategic alliance
D) Institutional investors
E) A spin-off
Many governments require that products sold in their particular country be at least
partly made there. This policy involves what type of laws?
A) Quota laws
B) Local content laws
C) Business practice laws
D) Free trade laws
E) Subsidy laws
Research suggests that the major personality dimension that exists in a variety of
countries, and is therefore reasonably important across cultures is
A) attitude.
B) cognition.
C) intention.
D) commitment.
E) self-esteem.
Which of the following is a function performed by an investment bank?
A) Handling a client’s portfolio in the secondary market
B) Establishing relationships for a client with a commercial bank
C) Underwriting purchases of stocks and bonds
D) Arranging travel abroad for purchasers of foreign currencies
E) Providing insurance services for clients
Which of the following refers to associations of producers that control supply and
prices?
A) Independent agencies
B) Cartels
C) Trade alliances
D) Multinational firms
E) Trade monopolies
Which term refers to the pattern of short-term ups and downs in an economy?
A) Aggregate output
B) Business cycle
C) Standard of living
D) Balance of payments
E) Demand and supply schedule
Which of the following dispositions is typical for leaders with a high degree of risk
propensity?
A) Reliance on intuition
B) Reliance on rational decisions
C) Aversion against use of intuition
D) Aversion against rational decisions
E) Aversion against use of both intuition and rational decisions
What is the most important factor to consider when developing the promotional mix for
a product?
A) Position
B) Communication mix
C) Delivery method
D) Price
E) Target audience
How do companies offer one-time direct inducements to buyers when promoting goods
or services?
A) Personal selling
B) Premiums
C) Public relations campaigns
D) Integrated marketing
E) Advertising
Which of the following is a way to tell how an organization is doing in meeting its
social responsibility goals?
A) Governmental mandate
B) Executive summary
C) Social audit
D) Government initiative
E) Financial report
Which of the following includes the tangible and intangible features that characterize a
service?
A) Process selection
B) Service process design
C) Product life cycle
D) Benefits
E) Service value package
Which of the following BEST describes a business strategy?
A) A strategy for determining the firm’s overall attitude toward growth and the way it
will manage its businesses or product lines
B) A strategy at the business unit or product line level that focuses on improving a
firm’s competitive position
C) A strategy by which managers in specific areas decide how best to achieve corporate
goals through productivity
D) A strategy that assists first line managers in making day-to-day decisions about
motivating employees
E) A strategy that integrates an organization’s marketing goals into a cohesive whole by
focusing on the ideal product mix to achieve maximum profit potential
For marketers, what type of variables are lifestyles, opinions, interests, and attitudes?
A) Geographic variables
B) Demographic variables
C) Psychographic variables
D) Product use variables
E) Labor market variables
What are products with intangible features such as professional advice?
A) Personal goods
B) Services
C) Industrial goods
D) Psychographics
E) Reseller goods
When conducting a SWOT analysis of an organization, which question can help
management brainstorm for the strengths section of the analysis?
A) What external changes present interesting possibilities?
B) What aspect of the organization’s vision can be altered?
C) What necessary skills do the organization’s employees currently lack?
D) What does the organization offer that makes it stand out from other organizations?
E) What external economic forces can affect the organization’s bottom line?
When the government dictates what organizations can and cannot do, what tactic is the
government using?
A) Social responsibility
B) Taxation
C) Stakeholder support
D) Regulation
E) Socialism
When would a manufacturer use an exclusive distribution strategy to market a product?
A) When there is a need to create promotional advantage
B) When the manufacturer has a low cost product that is new for the market
C) To build a strong relationship between the manufacturer and the wholesaler
D) When the manufacturer wants to break into a new geographic location
E) When the item is a high-cost or prestige product
What is the term for the wholesaler who sells directly to retail stores and provides
services such as pricing and shelf displays?
A) Full-service merchant wholesalers
B) Drop shippers
C) Limited-function merchant wholesalers
D) Rack jobbers
E) Merchant wholesalers
Which of the following BEST describes product features?
A) All attributes and features of the product taken together
B) Tangible and intangible quality built into the product
C) Intangible benefits that increase customer satisfaction
D) Speed and convenience of a buyer interaction
E) Benefits that are used directly in the conversion of a process
Which type of business is legally considered a separate entity from its owners and is
liable for its own debts?
A) Sole proprietorship
B) Corporation
C) Limited partnership
D) Cooperative
E) General partnership
What is the formula for measuring a firm’s working capital?
A) Current assets = working capital /current liabilities
B) Working capital = current assets – current liabilities
C) Current liabilities = current assets + working capital
D) Working capital = current assets current liabilities
E) Current liabilities = current assets / working capital
When a firm needs a large amount of capital for an extended period of time, what type
of financing, even with stiff annual or semi-annual interest payments, might be best?
A) Retained earnings
B) Corporate bonds
C) Common stock
D) Stock split
E) IPO
The single largest trading partner of the United States is China.
According to Maslow’s model, a set of needs will be a motivator until which of the
following occurs?
A) The needs are satisfied.
B) New needs are identified.
C) The person becomes self-motivated.
D) A supervisor changes the work.
E) The needs are replaced by hygiene factors.
If a firm ends its fiscal year with profit, which plan can the firm use to distribute part of
the excess to employees?
A) Gainsharing plan
B) Profit-sharing plan
C) Cafeteria plan
D) Insurance plan
E) Salary-sharing plan
Why should an investor consider diversification and asset allocation?
A) To offset capital gains
B) To achieve desired risk-return balance
C) To increase total returns
D) To achieve higher dividend yields
E) To improve price-appreciation values
In which type of system must the customer be actively involved in order to receive the
good or service?
A) Make-to-stock
B) High-contact
C) Intangible
D) Low contact
E) Operations process
Which term describes groups of operating employees who are empowered to plan and
organize their tasks and to perform those tasks with a minimum of supervision?
A) Task forces
B) Standing committees
C) Work teams
D) Division committees
E) Board members
Which feature characterizes the organization of centralized firms?
A) Flat
B) Tall
C) Very large
D) Responsive to change
E) Well capitalized
Which function in the management process is being utilized when a firm elects to move
towards a more centralized structure?
A) Planning
B) Leading
C) Organizing
D) Controlling
E) Monitoring